How Does Paris Stay Paris? By Pouring Billions Into Public Housing

The city of Scranton, Pennsylvania, used some of its money from the American Rescue Plan Act to create a Wage Boost Grant for local businesses. The grant is used to raise hourly wages for two years allowing the business to save up money to keep the higher hourly rate after that. These raises are critical for small businesses trying to retain employees.

The two-year pause on federal student loan payments in the United States during the pandemic allowed Black women, who share a disproportionate amount of the country’s student debt, to redirect the money they would typically use for repayment toward other needs.

A group of Kenyan coastal women used a blue economy grant to establish a mud crab-fattening enterprise in Jomvu Creek, generating up to $310/month in collective income and planting nearly 1 million mangrove seedlings.

The city of Louisville, Kentucky, offered some residents of low-income neighborhoods $500 a month for a year with no strings attached as a part of its first ever guaranteed income program. The funds allowed people to start building savings and prevented evictions.

A pilot program in Philadelphia is providing low-income residents with unlimited free rides on public transportation, which they may not otherwise be able to afford. Participants did not need to apply and were selected by lottery or through community-based organizations.

A guaranteed income program in Cambridge, Massachusetts, provided 130 single caregivers who made below 80% of the local median income with $500 cash payments, no strings attached. The 18-month program, Cambridge Recurring Income for Success, helped participants increase their savings, cover emergencies, and spend more time with their children.

The Predatory Loan Prevention Act caps loan interest rates at 36%, including all fees. Before the Act passed, rates were extremely high, including 297% for payday loans and 178% for auto-title loans. The Illinois Legislative Black Caucus pushed for the Act to pass in an effort to close the racial wealth gap and address socioeconomic disparities, as these high-interest rates historically affected minority groups.

Connecticut and several other East Coast states are implementing baby bond programs to help children in low-income families generate wealth. The programs create trust funds for babies born into families on public health insurance that are managed by the state until they turn 18.

Sacramento’s Cannabis Opportunity and Racial Equity program is helping people who were adversely affected by discrimination during America’s war on drugs to start businesses in the regulated cannabis industry. Qualifying entrepreneurs receive wraparound support including funding and small-business education. So far, 10 dispensary licenses have been awarded to participants.

The Biden-Harris administration’s Saving on a Valuable Education (SAVE) plan is helping more student loan borrowers achieve forgiveness. The program reduces monthly payments based on the person’s income and family size and covers interest costs to stop the overall amount from ballooning.